LOS ANGELES (AP) - DirecTV says it's settled a consumer protection dispute with prosecutors in 50 states that solidifies how it tells customers about cancellation fees and other contract terms.
The company says it will also pay $14.25 million to the states to cover legal and investigation costs and fund consumer protection programs.
The company agreed upon a way of clearly telling customers that they must pay a $20-per-month fee for the time remaining on a 24-month contract if they cancel it.
The company also agreed to follow a specific policy on informing consumers about fees they must pay if they don't return leased equipment.
DirecTV also agreed to a dispute mechanism that could lead to arbitration if consumers complain about issues that have not yet been resolved.